Figures released by the Office of the Deputy Prime Minister (OPDM) reveal that house prices rose 12.6% in the year to October, however this is a drop from Septembers figure of 13.8%.

Despite a rapid slowdown in the property boom this autumn, annual gains in London increased from 6.6% to 7%. Prices also picked up in the West Midlands.

The greatest slowdown was recorded in Scotland, where inflation is now 17.8%, down from 21.9%.

Activity amongst first-time buyers fell as annual house price inflation for this sector dropped to 12.5% in October from 15.6% in September.